Attachment Deere opposition to

This document pretains to SAT-ASG-20010302-00017 for Assignment on a Satellite Space Stations filing.

IBFS_SATASG2001030200017_935535

Before the Q’l’i/@ FEDERAL COMMUNICATIONS COMMISSIOMy D Washington, D.C. 20554 %"2‘.;is t Q:a‘"w;:"’“"-s In re Applications of ) ) Motient Services Inc. and ) ) Mobile Satellite Ventures ) Subsidiary LLC ) ) Application for Assignment of Licenses and ) For Authority to Launch and Operate a ) Next—Generation Mobile Satellite Service ) System ) ) ) TMI Communications and Company, ) File No. SES—ASG—20010116—00099 et al Limited Partnership ) ) Application for Modification and ) Assignment of Licenses to Operate Mobile ) Terminals for Mobile Satellite Services ) OPPOSITION OF DEERE & COMPANY TO AMENDED MOTION FOR MODIFICATION OF EFX PARTE STATUS Deere & Company ("Deere"), by its attorneys, hereby responds to the "Amended Motion For Modification of Ex Parte Status" ("Amended Motion") filed_by Motient Services, Inc. ("‘Motient‘‘), Mobile Satellite Ventures Subsidiary LLC ("MSV"), and TMI Communications and Company, Limited Partnership ("TMI"‘) (Motient, MSV, and TMI, collectively, "Applicants"), on June 19, 2001. In their Amended Motion, Applicants request modification of their earlier status change motion‘ so as to have "Permit but Disclose" status applied oniy to the engineering aspects of the referenced applications relating to their proposed merger ("Applications"). j Motion for Modification of Ex Parte Status of Motient Services Inc., et al., File Nos. SAT—ASG—20010302—00017 et al., SES—ASG—20010116—00099 et al., (filed May 10, 2001) ("Motion"). Neither Deere nor any other party to the proceeding filed an opposition to that Motion.

Deere agrees that "Permit but Disclose" status may facilitate Commission consideration of engineering issues. Deere opposes grant of the Amended Motion, however, because consideration of the serious anti—competitive concerns raised by the proposed merger may also be facilitated by according "Permit but Disclose" status to the assignments of licenses proposed in the Applications. As shown in Deere‘s Petition to Deny the Applications, > grant of the proposed assignments of licenses will completely eliminate any actual or even potential competition in the L—Band mobile satellite services market in the U.S. While TMI was authorized to enter this market over Motient‘s vociferous objections, since Motient‘s monopoly was ended by the TMI authorization," Motient now seeks to preserve its monopoly by combining its operations with those of TMI. To date, the Commission has yet to grant any application for U.S. access to the potentially competitive Inmarsat space segment, including Deere‘s application for receive—only non—core use.* Thus, if the Applications are granted, an end—user such as Deere will have not even a potential choice of service providers, much less an actual choice." The Commission granted TMI U.S. market entry specifically so that there would be a choice of service providers, and end—users would not be left with Motient as their sole option for service." To eliminate even the modicum of competition so recently authorized in the market is clearly a serious step, and one at odds with the Commussion‘s general focus on market competition as the means for providing end—users such as Deere with reasonably priced, high * Petition to Deny of Deere & Company (filed April 18, 2001"). * See In the Matter of the Application of TMI Communications and Co., LP for Blanket Authorization to Operate up to 100,000 METs, File Number 730—DSE—P/L—98, Order and Authorization, FCC 99—344 ("TMI Authorization") at 30 ("AMSC [now, Motient] requests that we keep foreign carriers out of the U.S. market long enough for AMSC to use its monopoly power over U.S. customers to increase its traffic. . . ."). * See In re Deere & Company Application for Blanket Authority to Operate up to 10,000 Non—Common Carrier, Receive—Only Domestic Mobile Earth Stations in the United States Using Inmarsat II, F2 Satellite, SES—LIC— 20010112—00051 ("Deere Application"); In re Application ofDeere & Companyfor Special Temporary Authority for Certain Receive—Only Mobile Earth Stations, SES—STA—20010112—00046; denied sub nom. Letter to Deere from Thomas S. Tycz, Chief, Satellite and Radiocommunication Division, International Bureau, dated Mar. 2, 2001; Petition for Reconsideration pending ("ST4 Application "). ° Given their merger plans, it is unrealistic to view Motient and TMI as arms‘ length competitors even now. ° TMI Authorization, para. 1.

quality, efficient, and state—of—the—art services.‘ In this case, granting the Applications would completely eliminate any market discipline effect. By any form of competitive analysis, the elimination of the sole competitor to a former monopolist must be deemed to have a substantial adverse impact on competition in that market. Therefore, just as in the case of the engineering issues raised by the Applications, a grant of "Permit but Disclose" status also to the merger aspects of the proposed transaction "would allow the parties more flexibility to make presentations to Commission staff" and "will be useful to create a more complete record on which the Commussion may decide the issues raised."" Absent such flexibility, the Commission may have insufficient information to address the serious competitive concerns, including the potential harm to end—users, raised by the complete elimination of competition in the L—Band mobile satellite service market in the U.S. Conclusion As Deere has shown, the proposed merger of Motient and TMI eliminates even the potential for competition in the L—Band MSS market in the U.S. because there is no other authorized provider of such service, and end—users such as Deere have not been permitted even on a short—term or conditional basis to access Inmarsat space segment for even non—core receive— only purposes. The creation of a de jure and de facto monopoly in a market raises serious competitive concerns and has a substantial adverse impact on end—users such as Deere. As in the case of the engineering issues raised by the Applicants‘ applications, the Commission can substantially benefit from the opportunity to discuss on an ex parte basis with affected parties the adverse competitive consequences of a decision to grant the Applications. Therefore, for the reasons detailed above, the Commission should dismiss the Amended Motion to limit the ‘ See, e.g., Remarks By Michael K. Powell, Chairman, FCC, Before The Federal Communications Bar Association, Washington, D.C. , June 21, 2001,"Consumer Policy In Competitive Markets" at 2—3 ("Serving the public interest means crafting the conditions and the environment that will allow innovation to bring new and improved products and services to all Americans at reasonable prices."). ° Amended Motion at 2. ° Amended Motion at 3.

"Permit but Disclose" status of the above—captioned proceeding to engineering issues and instead extend such status to all aspects of the proceeding. Respectfully submitted, DEERE & COMPANY ZAQ\MA&»@JW& Helen E. Disenhaus Eliot J. Greenwald Its Attorneys SWIDLER BERLIN SHEREFF FRIEDMAN, LLP 3000 K Street, NW, Suite 300 Washington, D.C. 20007—5116 (202) 424—7500 June 25, 2001 377176.3

CERTIFICATE OF SERVICE I, Phyllis W. Perry, hereby certify that on this 25th day of June 2001, I caused a copy of the foregoing Opposition of Deere & Company to Amended Motion for Modification of Ex PARTE STATUS served on the following by U —Mail or hand delivery to the attached list of recipients. E | M&% // Phyllis W. Perry

Michael K. Powell, Chairman Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Gloria Tristani, Commissioner Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Kathleen Q. Abernathy, Commuissioner Federal Communications Commission 455 12"" Street, S.W. Washington, D.C. 20554 Michael J. Copps, Commissioner Federal Communications Commission 445 Twelfth Street, S.W. Washington, D.C. 20554 Donald Abelson, Chief International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, DC 20554 Anna M. Gomez, Deputy Chief International Bureau Federal Communications Commission 445 12" Street, S.W. v Washington, D.C. 20554 James L. Ball International Bureau Federal Communications Commission 445 Twelfth Street, S.W. Washington, D.C. 20554 John Coles Satellite Policy Branch Satellite & Radiocommunication Division International Bureau Federal Communications Commission 445 Twelfth Street, S.W. Washington, D.C. 20554

John I. Riffer Office of General Counsel Federal Communications Commission 445 12"" Street, S.W. Washington, D. C. 20554 Tom Tycz, Chief, Satellite & Radiocommunication Division International Bureau Federal Communications Commission 445 Twelfth Street, S.W. Washington, D.C. 20554 Rebecca Arbogast, Chief, Telecommunication Division International Bureau Federal Communications Commission 445 12" Street, S.W. Washington, D. C. 20554 Douglas Webbink International Bureau Federal Communications Commission 445 12" Street, S.W. Washington, D. C. 20554 Karl Kensinger, Special Advisor Satellite & Radiocommunication Division International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Claudia Fox Policy and Facilities Branch Telecommunications Division Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554

Ronald Repasi, Chief Satellite Engineering Branch Satellite & Radiocommunication Division International Bureau Federal Communications Commussion 445 12" Street, S.W. Washington, D.C. 20554 Sylvia Lam Satellite Engineering Branch Satellite & Radiocommunication Division International Bureau Federal Communications Commission 445 12"" Street, S.W. | Washington, D.C. 20554 Terrence Reideler International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Lon C. Levin Vice President and Regulatory Counsel Motient Services Inc. and Mobile Satellite Ventures Subsidiary LLC 10802 Parkridge Boulevard Reston, VA 20191 Gregory C. Staple Vinson & Elkins, L.L.P. 1455 Pennsylvania Ave., NW Washington, D.C. 20004—1008 Bruce D. Jacobs David S. Konczal Shaw Pittman 2300 N Street, N.W. Washington, DC 20037 International Transcription Services, Inc. 455 12"" Street, SW Room CY—B402 Washington, D.C. 20554

Cassandra Thomas Satellite and Radiocommunication Division International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Fern Jarmulnek, Senior Legal Advisor Satellite and Radiocommunication Division International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Jennifer Gilsenan Satellite and Radiocommunication Division International Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Julius P. Knapp, Chief Policy and Rules Division Office of Engineering and Technology Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Thomas J. Sugrue, Chief Wireless Telecommunications Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Kathleen O‘Brien Ham, Deputy Bureau Chief Wireless Telecommunications Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554 Jim Schlichting, Deputy Bureau Chief Wireless Telecommunications Bureau Federal Communications Commission 445 12"" Street, S.W. Washington, D.C. 20554

Herbert Zeiler Wireless Telecommunications Bureau Federal Communications Commission 445 12" Street, S.W. Washington, D.C. 20554 Tom Lindstrom Director, Telecom Policies & Regulations Ericsson Inc. 1634 I Street, NW — Suite 600 Washington, D.C. 20006—4083 Kelly Cameron Robert Galbreath Power Goldstein Frazer & Murphy, L.L.P. 1001 Pennsylvania Avenue, N.W. 6" Floor Washington, D.C. 20004 Tara K. Giunta, Esq. Timothy J. Logue Space & Telecommunications Analyst Coudert Brothers 1627 I Street, N.W. Washington, D.C. 20006 Cheryl A. Tritt Charles Kennedy Morrison & Foerster LLP 2000 Pennsylvania Avenue, N.W. Suite 5500 _ Washington, D.C. Lawrence H. Williams Suzanne Hutchings New ICO Global Communications (Holdings) Ltd. 1730 Rhode Island Avenue, NW. Suite 1000 Washington, D.C. 20036

Michael F. Altschul Cellular Telecommunications & Internet Association 1250 Connecticut Avenue, NW Suite 800 Washington, D.C. 20036 Mary Ellen Warlow Acting Deputy Assistant Attorney General Criminal Division Department of Justice 950 Pennsylvania Avenue, NW Washington, D.C. 20530 Gregory C. Staple Vinson & Elkins L.L.P. 1455 Pennsylvania Avenue, NW Washington, DC 20004—1008 Stephen L. Goodman Halprin Temple Goodman & Maher 555 12‘" Street, NW, Suite 950—North Washington, D.C. 20004 Howard J. Symons Sara F. Leibman Catherine Carroll Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. 701 Pennsylvania Avenue, NW., Suite 900 Washington, D.C. 20004


Document Created: 2012-01-13 17:29:34
Document Modified: 2012-01-13 17:29:34
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